Patron Capital, the pan-European institutional investor focused on property-backed investments, has closed its most recent fund, raising €844 mln for Patron Capital LP VI (fund VI).
The sum raised includes approximately €128 mln of co-investment capital. Patron said that 83% of the total came from its existing investor base and relationships, with the majority of commitments from North America, followed by Asia Pacific, Europe, and the Middle East.
Investors included pension funds, sovereign wealth funds, endowments, foundations and asset managers. Evercore acted as the primary placement agent.
According to the firm, fund VI will continue the same investment strategy as Patron’s previous funds, opportunistically targeting distressed and undervalued investments, directly or indirectly related to property, across Western Europe.
Keith Breslauer, Patron Capital’s founder and managing director, said: 'The pandemic has accelerated a number of existing trends across different real estate sectors in Europe, as well as created opportunities to acquire fundamentally sound but mismanaged assets at attractive prices.
'Our experienced team, granular approach and in excess of €3 bn of firepower means we are well positioned to make the most of these opportunities and we are actively looking to deploy capital.'
The fund will invest in individual properties across a range of sectors, as well as in property-backed corporate investments and credit opportunities. In recent weeks, it has already completed several investments and is in the final stages of closing on several others, using approximately 25% of the fund’s investment capacity.
Breslauer added: 'This is the seventh fund that we have closed in our 21-year history.
'In this time, we have established a proven track record in identifying opportunities and maximising value, built exceedingly strong relationships and, ultimately, demonstrated that we can deliver attractive returns in any economic environment.
'This is why we have been able to close this latest fund with such a high proportion of our existing investors and relationships, as well as bring in the final tranche of capital against a backdrop of extreme uncertainty due to the Covid-19 pandemic.'
